In a repeated game,cooperation can be enforced by the use of a trigger strategy that
A) leads to a higher payoff of the cheated upon player.
B) reduces the payoff of the player that reneged the agreement.
C) rewards the player that reneged the agreement.
D) is a dominant strategy.

Question

Quizplus · Accepted Answer

A trigger strategy is a strategy that includes a punishment if one player deviates from the agreed-upon strategy in a repeated game. By reducing the payoff of the player that reneged the agreement, the trigger strategy acts as a deterrent against defecting, and thus enforces cooperation in the repeated game.

In a Repeated Game,cooperation Can Be Enforced by the Use